Nifty Futures is a short term is likely to test the G2 High reference level around 22200. Short Term Supports are formed around the 21750 and 21890 levels. For this week the expectation on the higher side is likely to be 22200 and 22250 levels testing the previous ATH levels.
Nifty Futures Market Profile Charts
Range and ATR Charts
The overall volatility in the market remains elevated since Dec 2023 onwards as a rise in 10-day ATR is witnessed.
India VIX Charts
As we are nearing RBI Policy announcement on 8th Feb 2024 the IndiaVIX index remains elevated and most likely nearing the volatility crush nearing or post the RBI event.
The current Interest rate stands at 6.5%. It is anticipated that RBI is likely to maintain the status quo and the consensus estimates and forecast are vouching the same.
Global Macro
The S&P 500 showed minimal movement, indicating a very flat market despite a mix of negative and positive news. Negative news came from additional FOMC members echoing the Fed Chairman’s remarks about inflation not being contained and it is too early for interest rate cuts. On the positive side, the London Stock Exchange Group increased S&P 500 earnings expectations for the third time in 36 days, citing over 80% of companies exceeding analysts’ expectations, which is seen as a strong fundamental positive.
